Lenovo closes $2.91 billion acquisition of Motorola unit from Google

Reuters News
Posted: Oct 30, 2014 6:21 AM

BEIJING (Reuters) - China's Lenovo Group Ltd <0992.HK> said Thursday it has closed its $2.91 bln acquisition of the Motorola handset unit from Google Inc <GOOG.O>, paving the way for a fresh assault on the U.S. smartphone market.

The purchase comes as Lenovo, the world's leading PC maker, ramps up its effort to diversify its business and establish itself as a smartphone maker with global appeal.

Google acquired the iconic smartphone brand and its prized patent portfolio in 2012 for $12.5 billion but struggled to reverse Motorola's years-long decline. Under the Lenovo deal, Google will retain a significant portion of Motorola's patents.

(Reporting by Gerry Shih)